NYC Mayor Zohran Mamdani sets his sights on ending hidden service fees. Here's how he plans to do it.
New York City Mayor Zohran Mamdani is launching a task force to crack down on hidden services fees for things like concert tickets and package handling.
On Monday, his fifth day in office, Mamdani signed another executive order, this one to help fulfill one of his hallmark campaign promises -- making the city more affordable.
"The proliferation of junk fees has exploded in recent years," the mayor said, adding, "We reckon with it when we try to buy concert tickets, when we book a flight, when we settle our credit card bill, or even when we pay rent. A $5 fee here, a $10 fee there, what seems small adds up quickly and the aggregate of all of these fees only buries New Yorkers deeper in a cost-of-living crisis that defines too many of our daily existences.
"These fees are not only making it harder for our neighbors to afford life in this city, they are also a sign of disdain and disrespect that corporations and bad landlords hold for working people," Mamdani added.
The fees in question
The mayor's task force is charged with going after businesses that tack on extra fees for a wide variety of things, including:
- Package handling fees
- Charge for getting a paper statement instead of a digital one
- Early termination fees
- Restocking fees for returning merchandise
- A charge for purchasing tickets online
"It is hard enough to live in New York City without having to worry all the time about whether you're being ripped off. Our affordability agenda is also about an agenda of dignity, and there are few things more undignified than feeling taken advantage of by someone you are already paying," Mamdani said.
What the executive order entails
The task force will be headed by Sam Levine, the new commissioner of the Department of Consumer and Worker Protection.
Mamdani said Levine will have the power to crack down on hidden junk fees and deceptive business practices, and enforce compliance.
"When businesses seek to circumvent and violate both existing and new junk fee rules, Sam will have my full backing to pursue enforcement actions," Mamdani said.
"Companies might not think it's deceptive, but they should actually examine our authority. If they don't, we're going to be making it very clear to them that the era of ripping off New Yorkers is over," Levine added.
The mayor said the executive order is designed to put businesses that use deceptive practices on notice.
"That they need not wait for the subpoena. They need not wait for a piece of mail that informs them. They can just turn on CBS Channel 2, or any of the channels that are here, and hear about the fact that this directive is now going to be the law here in New York City," Mamdani said.
